Bank Jago, A Company Owned By Jerry Ng Conglomerate Lost IDR 38 Billion In The First Quarter Of 2021

Conglomerate Jerry Ng. (Photo: Doc. Antara)

JAKARTA - PT Bank Jago Tbk still posted a loss in the first quarter of 2021. The loss for the issuer codenamed ARTO has swelled to 50 percent compared to the same period last year.

Quoted from the financial statements published on the information disclosure page of the Indonesia Stock Exchange (IDX), Thursday, April 22, Bank Jago recorded a current year's loss of IDR 38.13 billion until March 31, 2021. The bank's notes belonging to Jerry Ng conglomerate increased 50.26 percent from loss as of March 31, 2020, amounting to IDR 25.38 billion.

Bank Jago still recorded an increase in net interest income of up to 232.28 percent year on year (yoy), from IDR 10.07 billion to IDR 33.47 billion. However, net other operating expenses also increased by 102 percent yoy, from IDR 35.45 billion to IDR 71.82 billion.

The largest increase in operating expenses came from general and administrative expenses, which reached IDR 37.1 billion, followed by personnel expenses by IDR 39.43 billion. Meanwhile, the allowance for impairment losses increased from IDR 1.96 billion to IDR 6.95 billion, and other expenses from IDR 159 million to IDR 1.42 billion. The number of loans extended increased by 41.16 percent ytd to IDR 1.17 trillion.

Meanwhile, current accounts, savings, and time deposits grew 19.24 percent ytd to IDR 957.80 billion. Bank Jago recorded total assets of IDR 9.24 trillion as of March 31, 2021, from the position of December 31, 2020, of IDR 2.18 trillion.

The company has also officially upgraded to BUKU III with a core capital as of March 31, 2021, of IDR 7.98 trillion, up from the end of 2020 of IDR 1.07 trillion. Bank Jago has recorded a loss since 2015.

In 2020, Bank Jago closed the year with a loss of IDR 190 billion. The loss was due to increased operating costs as a result of technology investment.

Meanwhile, for 2021, ARTO is targeting asset growth of 190 percent from the position at the end of 2020. This target will be supported by credit and financing (sharia) growth of up to 259 percent and third-party funds of up to 138 percent and a net profit of IDR 50 billion.